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| 1 | HOUSE RESOLUTION
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| 2 | WHEREAS, The State of Illinois has deemed it important to | ||||||
| 3 | undo historical prejudices by creating special classifications | ||||||
| 4 | for businesses that are majority owned and operated by | ||||||
| 5 | minorities (MBE), females (WBE), or veterans (VOB and SDVOB); | ||||||
| 6 | and
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| 7 | WHEREAS, The State of Illinois' procurement policies | ||||||
| 8 | commonly request that goals be met by MBE, WBE, and VOB/SDVOB | ||||||
| 9 | businesses; and
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| 10 | WHEREAS, The State of Illinois has defined a special | ||||||
| 11 | classification company as a company that is at least 51% owned | ||||||
| 12 | by a special classification individual or a group of special | ||||||
| 13 | classification individuals and is actually controlled by the | ||||||
| 14 | same special individual or group of individuals; and
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| 15 | WHEREAS, The State of Illinois Central Management | ||||||
| 16 | Services' Business Enterprise Program Council has been charged | ||||||
| 17 | with the task of determining whether a company meets the | ||||||
| 18 | criteria for a special classification; and
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| 19 | WHEREAS, There have been well documented cases of | ||||||
| 20 | fraudulent MBE, WBE, SDVOB, and VOD companies being created; it | ||||||
| 21 | is the responsibility of the Business Enterprise Program to | ||||||
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| 1 | continue to oppose these applications for special | ||||||
| 2 | classification; and
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| 3 | WHEREAS, Small businesses in the present day marketplace | ||||||
| 4 | will often sell equity in their company to investors, such as | ||||||
| 5 | angel investors and venture capitalists, in order to raise | ||||||
| 6 | capital; and | ||||||
| 7 | WHEREAS, It is acknowledged that equity investors in | ||||||
| 8 | companies often will have no say in the operation, control, or | ||||||
| 9 | direction of the company; therefore, be it
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| 10 | RESOLVED, BY THE HOUSE OF REPRESENTATIVES OF THE | ||||||
| 11 | NINETY-EIGHTH GENERAL ASSEMBLY OF THE STATE OF ILLINOIS, that | ||||||
| 12 | we request that the Central Management Services Business | ||||||
| 13 | Enterprise Program Council includes the equity ownership of | ||||||
| 14 | silent investors of the same special classification in the | ||||||
| 15 | calculations of the majority ownership of a company; and be it | ||||||
| 16 | further
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| 17 | RESOLVED, That we request that the Central Management | ||||||
| 18 | Services Business Enterprise Program Council include silent | ||||||
| 19 | investor equity when calculating control of a company when the | ||||||
| 20 | silent investors have given controlling authority to one or | ||||||
| 21 | more persons of that classification; and be it further | ||||||
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| 1 | RESOLVED, That a suitable copy of this resolution be | ||||||
| 2 | delivered to the Central Management Services Business | ||||||
| 3 | Enterprise Program Council.
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